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POTOMAC INS. CO. v. PMA INS. CO.

A-2 September Term 2012, 070756

73 A.3d 465 (2013)

215 N.J. 409

POTOMAC INSURANCE COMPANY OF ILLINOIS, by its transferee, ONEBEACON INSURANCE COMPANY, Plaintiff-Respondent, v. PENNSYLVANIA MANUFACTURERS' ASSOCIATION INSURANCE COMPANY, Defendant-Appellant, and Newark Insurance Company and Royal Insurance Company, Defendants.

Supreme Court of New Jersey.

Decided September 16, 2013.

Attorney(s) appearing for the Case

James P. Lisovicz argued the cause for appellant (Coughlin Duffy, attorneys; Mr. Lisovicz, Timothy P. Smith, Joseph C. Amoroso, and Brooks H. Leonard, Morristown, on the briefs).

Elliott Abrutyn argued the cause for respondent (Morgan Melhuish Abrutyn, attorneys; Mr. Abrutyn and James L. Melhuish, Livingston, on the brief).

Justice PATTERSON delivered the opinion of the Court.

In this insurance coverage litigation, arising from a construction dispute, we address the allocation of defense costs incurred by the common insured of several carriers. We consider, for the first time, whether one insurer with an obligation to indemnify and defend the insured has a direct claim for contribution against its co-insurer for defense costs arising from continuous property damage litigation. We

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